Seeing particularly strong growth was the South West, with figures reaching 15%. London currently has the weakest growth, according to the firm's data, with Greater London showing a markedly lower price growth rate compared to the rest of Great Britain.
Restrictions on long-distance travel and the possible need to quarantine on arrival have been discouraging foreign investors, potential employees and students from moving to or visiting the capital. Rents have fallen in central London areas, triggering a reduction in landlord purchases. The City of Westminster, the City of London, Tower Hamlets and Camden are all showing a negative movement in prices over the last twelve months, at odds with almost all unitary authority areas outside of the capital.
The data revealed that within the South West, Bournemouth, Cornwall and Gloucestershire are all experiencing price growth in excess of 20%. The North West and the East Midlands retain their second and third positions, with growth rates of 11.5% and 11.2% respectively. In the North West, Blackburn with Darwen had the highest annual rate, of 23.0%, while in the East Midlands, Nottingham City came highest at 18.1%.
Richard Sexton, director at e.surv, comments: “While our survey recorded continued price rises in February, it suggests the market was continuing to soften ahead of the original deadline for the stamp duty holiday at the end of March. The government’s extension in the Budget will give hope not only to those currently trying to complete but possibly stoke expectations that activity may reignite.
"The extension though is largely about helping clear the backlog rather than adding further significant stimulus and our belief is that the success of the market for the rest of this year is inextricably linked to the health of the wider economy.
“In the Budget, the government underlined its commitment to the housing market with the announcement of its new mortgage guarantee scheme. This is welcome because although mortgage approvals have reached record highs in recent months, raising a deposit continues to be a huge hurdle for many buyers to overcome. The government-guaranteed scheme will really help some potential buyers accelerate their home-buying plans and offer a helping hand to borrowers wanting to trade up.
“What we have seen over the past few months is that demand regionally has been fuelled by changing housing preferences as a result of the pandemic and the lockdowns of the last year. The regions have benefitted as city dwellers have opted to embrace working from home with far less commuting. The pandemic has changed what many people want in a property and, in many cases, they are leaving big cities for smaller towns or more rural areas.
"Lifestyle changes and the stamp duty change have worked together to underpin the price rises of the last year.”
